Advance Notice - Alberta Bulk Clean Electricity

Trade Agreement: NONE
Tendering Procedures: All interested suppliers may submit a bid
Competitive Procurement Strategy: Lowest/Lower Bid
Comprehensive Land Claim Agreement: No
Nature of Requirements: 

NOTICE OF PROPOSED PROCUREMENT

Update, 2022-01-12: Public Works and Government Services Canada issued a Request for Proposals entitled EW038-221085 - Alberta Bulk Clean Electricity (WS3284870938) on January 12, 2022. This RFP is available through the notice posted on the Buy and Sell website, and can be accessed by using the following link:

https://buyandsell.gc.ca/procurement-data/tender-notice/EPS-21-WS3284870938-Doc3284982274 

1.0 CLEAN ELECTRICITY IN ALBERTA

Public Works and Government Services Canada (PWGSC), on behalf of the Government of Canada, requires the services of an electricity retail services provider for the supply and distribution of approximately 255,000 MWh/year of clean electricity (wind and/or solar) to federal government facilities located within the province of Alberta. The retail services provider will also be responsible for providing billing and settlement services. These services are required beginning on January 1, 2023.

PWGSC had previously issued two Requests for Proposals (RFPs) for the supply of solar electricity in Alberta from newly constructed facilities (EW038-210082/B and EW038-211946/A). PWGSC did not receive responses to these RFPs on solicitation close (February 24, 2021). 

After further analysis and industry consultation, PWGSC is now moving ahead with a retail-focused procurement strategy.

PWGSC is undertaking this procurement with the aim of fulfilling commitments to move to 100 percent clean electricity consumption, made within PWGSC’s minister’s mandate, the Pan-Canadian Framework on Clean Growth and Climate Change, as well as the Greening Government Strategy. PWGSC intends to promote growth in the renewable electricity sector through this procurement process.

The following elements are anticipated to be incorporated into the upcoming RFP tender for retail electricity services: 

* A solicitation period of a minimum of 3 months.

* A requirement for the supply and associated retail services of approximately 255,000 MWh of clean electricity annually to federal government facilities located in the province of Alberta commencing January 1, 2023.

* A requirement for the provision of the associated renewable energy certificate (REC) to be included with each MWh of electricity supplied.

* A requirement that all electricity and RECs be supplied from Alberta-based solar and/or wind energy sources.

* Subject to a bridging period starting January 1, 2023, a requirement that all electricity and RECs supplied must be provided by net new infrastructure (new facility or expansion, but not a redevelopment) that begins commercial operation no later than December 31, 2025.

* A requirement for a bridging period whereby all electricity supplied from January 1, 2023 until the commercial operations date of the net new infrastructure include RECs from any Alberta-based solar and/or wind facility.

* A contract will be in place for 23 years, effective January 1, 2023. This includes a minimum 20-year term for the net new infrastructure and up to three years for the supply of clean electricity until net new infrastructure is online.

* A requirement to include a minimum of twenty-five percent (25%) of the economic interest in the net new generation to be held by one or more qualifying Indigenous communities or qualifying Indigenous entities. This requirement is to be implemented within six months after the award of the contract.

* A requirement that the electricity be provided at a constant price as required by Canada facilities on an hourly basis during the year.

* A requirement that the electricity and associated RECs have an upper and lower threshold for consumption of not less than 10% above or below the aggregate contract quantity of 255,000 MWh annually identified above.

* A requirement for the supply of billing and settlement services for all participating federal government departments, agencies and corporations, and their respective facilities.


2.0 USE OF SAP ARIBA FOR BID SUBMISSION

Public Works and Government Services Canada is now using SAP Ariba, a web-based tool that allows businesses to view and bid on opportunities with the Government of Canada, for posting of tender opportunities and submission of bids. The upcoming RFP for retail services for clean electricity in Alberta will be posted using this tool. Businesses will need an account in order to bid on opportunities that are posted on SAP Ariba.

To learn more about how PWGSC will be using SAP Ariba and for instructions on creating an account, please use the following links:

Getting started: https://canadabuys.canada.ca/en/getting-started

How to register: https://canadabuys.canada.ca/en/how-register-your-business

A weblink to the new retail services RFP on SAP Ariba will be published to this Notice of Proposed Procurement (NPP) in January 2022. 


3.0 PROCUREMENT OF RENEWABLE ENERGY CERTIFICATES 

Public Works and Government Services Canada, at the national level, is undertaking a separate procurement process for the supply of renewable energy certificates (RECs) for federal facilities outside the province of Alberta. Under this separate process, PWGSC will be aiming to procure the required RECs directly from renewable electricity generators. Under the national RECs procurement, Canada will not be procuring electricity. These RECs will be purchased separately from the generated electricity, but must also be sourced from net new infrastructure in Canada.

To learn more about this opportunity, visit https://buyandsell.gc.ca/, and enter solicitation number ‘EP959-211948’ in the search bar. This search will bring up the associated solicitation.

The NPP for this requirement is anticipated to be posted in fall 2021. 


4.0 NATURE OF THE NOTICE OF PROPOSED PROCUREMENT 

This NPP is being issued to provide advance notice to industry of the proposed procurement, with the aim of allowing bidders to begin preparations for the subsequent RFP.

Indigenous participation will be a key component of the RFP, and potential bidders are encouraged to begin consulting with Indigenous entities in order to address the Indigenous participation requirements that will be included in the RFP.

Nothing in this Notice of Proposed Procurement shall be construed as a commitment from PWGSC. PWGSC may use any non-proprietary information obtained as part of this review in the preparation of future requirements


5.0 ESTIMATED SCHEDULE 

PWGSC proposes the following schedule for the procurement:  

Milestone
RFP Solicitation posting: January 2022
RFP Solicitation period: 3 months 
Contract award: Fall 2022
Commercial operation for net new infrastructure: No later than December 31, 2025


6.0 ENQUIRIES 

Interested parties may submit enquiries, in writing, to the Procurement Authority. 

Procurement Authority:

Tyler Zdan
Procurement Specialist
Public Services and Procurement Canada
Phone: (204) 509-5743 
Email: Tyler.Zdan@tpsgc-pwgsc.gc.ca

When submitting enquiries, interested parties are asked to include the title "Notice of Proposed Procurement - Alberta Renewable Electricity Procurement" in the subject line of their email.

6.1 ENQUIRY DEADLINE

The deadline for enquires in regard to this NPP is:

Monday, December 13, 2021.

Enquiries must be submitted electronically and to the PWGSC representative identified above. 

Questions included in enquiries received after the deadline may not be answered, however, PWGSC reserves the right to review and respond to questions received after this deadline, if PWGSC determines that the question and/or its response may be of significant value to the RFP process.
Delivery Date: Above-mentioned

The Crown retains the right to negotiate with suppliers on any procurement.

Documents may be submitted in either official language of Canada.